Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Exactly Dhan, now is the perfect time to buy IRR BEFORE IT MOVES! With the Ghana lithium getting an $87m injection, project derisked and corporate strategy planning to move the enormous gold holding in a similar direction. IronRidge needs a lot of share price movement to catch up with peers. I think 5x in the next few months is fair.
The delay to the 2022 supply (which obviously hasn't happened yet) will make IRR much more valuable to Piedmont
Haha yeah. Most people wouldn't believe that he was IronRidge's very own rocket man a couple of years ago at 25p. So much excitement for the future that has now been realised in the form of an exceptional scoping study and a deal with Piedmont!
On one hand we have Piedmont Lithium. An expert billion dollar global lithium company with a major investment in Sayona Mining and a supply agreement with Tesla. Chief Geologist and co-founder Lamont Learherman with his decades of experience and his team of qualified and experienced Geo's spending 6 months pouring over the Ewoyaa data, conducting site visits and doing extensive due diligence. Finance expert President and CEO of Piedmont Keith Phillips saying (about Ewoyaa) that "We think this is one of the world's best spodumene assets". And Piedmont just signed a deal to pump $102m into IronRidge and Ewoyaa.
On the other hand you have Munchbox54 with his 3770 posts on LSE saying it's rubbish.
Pmsl
Piedmont's PR department going into overdrive with IronRidge taking a prominent position
He's contractually obligated to mention it in every single post lol
I wonder if the move today is due to Piedmont reiterating their corporate strategy with IronRidge in an official market release?
Hi Dean, they're cancelled trades. Most are because the broker or market maker had fat fingers and made a mistake. However, an excessive amount of cancelled trades could be related to spoofing where ppl try to trick the market into thinking there's a lot of demand or supply. Spoofing is illegal but it's rare that anyone gets prosecuted :(
Looks like our resident doom mongers have been desperately scrambling for something other than the pitiful '4 years to production' and the very best that they could come up with was CATL's development of a new battery chemistry that won't even be suitable for EVs!
But they're still invested here. Honest lol
I'll add that once automakers see prices moving rapidly, if they're not already worried, they'll be all over unsecured lithium projects. And guess who has one that's the world's cheapest and is fully funded to production and has massive exploration upside??
That's almost an unbelievable jump in prices in such a short period. The market is moving quickly. I think we're now entering Tony Seba's disruption curve. Could very easily be $2000 by end of August! I need to run my numbers for Ewoyaa again because my table didn't assume prices would be this high. Strap in and hold tight!
We're all investors. Granted, we all have different timeframes but we are all investors.
As investors we are attempting to buy a company where it's price will rise based upon some future event. Then we sell. That's literally the whole point of investing.
So being able to use the fundamentals or interpretation of geological features and exploration results to predict a future market cap or share price IS HOW WE MAKE MONEY!
HFox is correct, my timescales are off (actually, they've been pretty poor) but hey this is a marathon not a sprint.
The difference now though, is that we have a couple of solid ways to value the company. We can use the NPV from the scoping study, currently at $345m but we now have a much higher SC6 price AND the LoM will be at least 10 years. The NPV will be significantly higher. The market doesn't know this yet. But we do.
We can also use future revenue (again from the scoping study). It's a relatively simple calculation. And we know that between now and production, the sp should rise to meet that future state. Again, that's many multiples of where we are now.
What we cannot predict is the market and how the market interprets news and events. But sometimes that also creates investment opportunities. That's where we are now.
So I think I'll continue to make price predictions because I'm an investor and that is my edge.
I see that Spodumene Concentrate SC6 recently hit $925 and there's a couple of reasons why this is such a big milestone for IronRidge:
1. The scoping study was based on $650. An update to the scoping study with latest prices will have a significant uplift in NPV and I predict the Internal Rate of Return will be over 200%. From a project point of view, 200% is very very high. Not many mines in the world can boast a figure like this.
2. Our purity level means that our SC6 is rare. It means less processing (helps with the IRR and capex) but more importantly it commands a higher price at port. We could easily be looking at touching that holy grail SC6 price of $1000.
Lol bakuraku, thanks for your concern and thanks again for proving my point ;)
I know this company very well, I have spent literally hundreds of hours researching and I've never found a reason not to stay invested.
And it always makes me smile when I read the truly **** poor efforts that our resident negative posters can muster. It's not even worth replying. I hope you're not getting paid for it lol. Come on guys, please up your game :)
The share options and performance rights have no impact on the demerger, that's all going ahead as planned
The Ghana lithium is derisked. $30m in the bank. Very supportive government. One of the lowest opex lithium projects on the planet. Cheap capex too. The numbers do not lie and Piedmont's due diligence was thorough. Their investment is a huge huge endorsement. The company is getting sold imo and this is going to happen soon. There's your upside, plain and simple.
The very best that the trolls can come up with is 'its going to take years'. It isn't. The end game is not production. Vince retaining control was a brilliant move. The company is up for sale and the share register ensures no silly offers.
You can now either do your own research or believe that Piedmont, the US lithium experts, did theirs.
Buy and hold imo. Very very low risk here.
Well done all LTH's and good luck everyone!
This is the best position that IronRidge has ever been in.....by a long way. I'm very excited for what the rest of 2021 brings.
IronRidge is now sitting on a globally significant lithium project, it will be one of the top 3 cheapest HR producers. Spodumene concentrate price is increasing and the NPV has added around $250m since the scoping study. We are finally dropping drills into 3 big targets outside of the Mankessim license and will get a good idea of the Cape Coast potential. Upside of Ewoyaa is looking fantastic and the new auger drill system to pick RC targets looks to be genius. The gold MRE at Zaranou is due anytime and that should give us more proven value. We are drilling at Kineta and political issues dependent we will be drilling Dorothe soon too.
And on top of that, we now have the biggest war chest that we've ever had......by a long way.
Good luck all and DYOR
Hi LadySula, yes you're right, my timeline fell apart very quickly but glad to hear that you're still here. It turns out that exploration in Africa is a lot more demanding than I had factored in. Add in the slump in lithium prices and delays at our (then) flagship Dorothe project in Chad and seeing the SP drop to 7p was nothing short of horrific.
But I'm still here, along with HodgeFox and Farquar. In fact, we're all holding more shares than ever - and still buying. As you say, patience is key (as is not opening your account on occasions).
Some lessons that I have learned along the way:
1. Invest in the management as much as the company. And invest in their belief just as much as your own
2. However long you think it will take, double it, then add the number you first thought of!
3. Nobody knows what's around the corner (Covid is a good example) so take a long term view on investments
4. Research gives you the confidence to hold through the difficult times (and add to your holding)
5. When your patience is tested the most, that's usually just before the turn-around
Good luck all, DYOR (and ignore price predictions)